Hong Kong chief: protests have resulted in ‘chaos and panic’: Reuters
Concerns over Argentina’s default lead to widespread selling: Bloomberg
Is Trump’s immigration policy set to harm California’s economy? LA Times
China’s central bank reduces yuan/dollar midpoint reference rate for the fourth consecutive day: CNBC
German economic survey reveals ‘substantial deterioration’ in outlook: ZEW
60% of S&P 500 stocks offer dividend yields exceeding 10-year Treasury yields: WSJ
Bond market’s recession signal may intensify if the 10yr-2yr spread inverts: CNBC
10-year Treasury yield drops to 1.65% amid increased risk-averse sentiment:
Real estate stocks are thriving. For a second consecutive week, real estate investment trusts (REITs) achieved the highest weekly gain among major asset classes, according to performance metrics derived from various exchange-traded funds. This impressive rise occurs against a backdrop of increased risk-averse sentiment and a surge in bond prices.
Hong Kong airport halts all flights due to protests: CNBC
Goldman Sachs analysts indicate rising US recession risk amid trade war: Reuters
Argentina’s president faces uncertainty after primary loss: Reuters
U.S. government bond yields see a significant decline today: CNBC
Upcoming key events that may affect stock markets: MW
Could negative interest rates emerge in the US? WSJ
US wholesale inflation remains muted at an annual rate of 1.7% in July: MW
By Mark Thornton
Summary via publisher (Ludwig von Mises Institute)
Following the 2008 financial crisis, the economic field faced a significant reputation setback. In contrast to many of his peers, Mark Thornton emerged vindicated post-crisis. He has provided steady insights even when drastic Federal Reserve interventions have prompted others to lose their composure. This compilation successfully defends the market economy against the conventional belief that increased controls are necessary due to past failures. We had ample regulations and bureaucratic oversight before the financial crisis, yet few anticipated the looming issues. Maybe it’s time to re-evaluate our approach to a truly free market with stable money and genuine interest rates, and dismantle the current bubble-generating system.
The US-China trade war displays several remarkable traits, but the most striking—and potentially dangerous—is President Donald Trump’s reliance on “his instinct and analysis rather than the guidance of his advisors,” as reported by The Washington Post reports.
The US-China trade conflict is impacting global oil demand: WSJ
Is US oil at risk as China escalates the trade conflict? CNBC
Most economists believe that the US-China trade dispute heightens recession risks in the US: Reuters
UK economy shrank in Q2, marking the first quarterly decline since 2012: BBC
German exports experienced a sharp drop in June, the largest in three years: Bloomberg
China’s Huawei introduces its own mobile operating system to substitute for Google’s Android: AP
China sees food prices rise by 9% annually due to a swine fever outbreak: CNBC
US jobless claims decreased last week, continuing to indicate a robust labor market: Reuters
The Philly Fed’s US business cycle index (ADS Index) still shows a low recession risk:
This year, the stock market has put investors through a range of emotions, yet despite recent volatility, all major equity sectors have shown year-to-date gains, as indicated by various exchange-traded funds. Technology companies lead the charge, closely followed by real estate investment trusts (REITs).
China’s exports unexpectedly increased in July despite US tariffs: CNBC
Tensions rise between Pakistan and India over changes in Kashmir: BBC
Nearly 700 arrests made by US immigration authorities in Mississippi: Reuters
Treasury yields rebound on Thursday after a significant decline the previous day: CNBC
Positive sentiment about the possibility of negative yields in the US expressed by Pimco analyst: MW
China hints at a policy to weaken its currency: NY Times
US consumer credit growth continued to slow in June: MW
Oil prices have plummeted to a seven-month low amid economic concerns: Reuters
The anticipated slowdown in US economic growth is expected to persist in the third quarter, based on recent forecasts. Current estimates indicate that the ongoing expansion, the longest in history, will continue. However, with the US-China trade conflict unresolved and increasing potential for a currency war between the two largest economies, the risk for economic turmoil is escalating.
North Korean leader Kim indicates that recent missile launches are a warning to the US: CNBC
The US-China trade war heightens global recession risks: Bloomberg
US trade tariffs imposed a burden of $3.4 billion on US companies in June: Reuters
China and Pakistan issue warnings to India regarding changes in the disputed region: Newsweek
Germany’s industrial production has seen its largest annual decline in a decade: BBG
India’s central bank cuts interest rates for the fourth time: CNBC
Job openings in the US decreased in June but remain over seven million for the 15th consecutive month: MW
This collection of updates reflects the dynamic nature of the current global economy, marked by geopolitical tensions, fluctuating markets, and evolving economic conditions. Future developments will undoubtedly play a crucial role in shaping financial landscapes and investment strategies moving forward.
